State Sports Betting Legalization: A Tale of Successes and Stumbles
The last few years have seen a whirlwind of activity in the realm of state sports betting legalization across the United States. With legislative sessions winding down or having already concluded in many states, the outcomes of sports gaming legislation have varied widely, creating a patchwork of winners and losers in the race to legalize sports betting. Here, we delve into the developments in state sports betting legalization, focusing on key states that either crossed the finish line or stumbled along the way.
As of 2025, 39 states plus Washington, D.C., and Puerto Rico have legalized sports betting in some form, with Missouri set to launch by December 1, 2025, following voter approval in November 2024.
States Leading the Charge
Among the states that have successfully navigated the complex legislative landscape to bring sports betting to their residents, New York and Wyoming stand out for their recent strides.
New York’s Strategic Move
New York launched mobile sports betting in January 2022 after its inclusion in the fiscal year 2022 budget, generating over $1 billion in tax revenue within its first year.
After considerable anticipation and debate, New York made a decisive move by incorporating mobile sports betting into its fiscal year 2022 state budget. This development was a significant victory for proponents of sports betting in the Empire State, melding a hybrid model that satisfied both Governor Andrew Cuomo’s preference for a lottery-based approach and the legislature’s push for private partnerships. This strategic compromise opened the door for a diverse sports betting ecosystem, potentially featuring multiple operators to enhance competition and consumer choice. The inclusion of mobile sports betting in New York’s budget marked a monumental step forward, setting a precedent for how states could balance various interests to achieve legalization.
Wyoming’s Progressive Legislation
Wyoming took a proactive stance by passing sports gaming legislation that not only legalized the activity but also addressed the critical issue of gambling addiction. House Bill 133, which sailed through both chambers of the state’s legislature, earmarked a portion of the revenue generated from sports gambling for the state’s health department, specifically targeting anti-gambling addiction measures. This forward-thinking approach underscored Wyoming’s commitment to responsible gaming. Moreover, the legislation empowered the Wyoming Gaming Commission with the responsibility to craft and administer an online gaming plan, paving the way for a nearly $450 million sports gaming industry within the state.
The Stumbles Along the Way
Wyoming legalized online sports betting via House Bill 133 in 2020, which launched in September 2021 and allocates 3.5% of adjusted gross revenue to the state Problem Gambling Fund.
While New York and Wyoming celebrated their legislative victories, not all states shared in the triumph. Georgia and Kansas, in particular, faced setbacks that derailed their sports betting legalization efforts.
Georgia’s Legislative Hurdle
In Georgia, the path to legalizing sports betting hit a snag amidst legislative priorities. Despite seeming close to passing sports gaming legislation, the efforts were ultimately thwarted by a focus on passing bills related to voting rights and election reform. A pivotal measure that would have allowed Georgia voters to decide on sports betting in a referendum did not receive a full vote in the House before the end of the legislative session, despite passing the Senate. This outcome left sports betting supporters in the Peach State waiting for another opportunity to advance their cause.
Kansas Faces Opposition
Kansas encountered its own challenges, with sports gaming legislation facing defeat in the House. The proposed legislation aimed to introduce casinos to the state and generate revenue for state coffers, with at least 14% of all funds raised earmarked for the state. However, opposition from various groups, coupled with concerns highlighted by House Speaker Ron Ryckman, ultimately led to the bill’s downfall. Ryckman’s remarks to local reporters underscored the complexities and conflicting opinions surrounding sports gaming legislation, illustrating the hurdles that can impede progress in this area.
Looking Ahead: The Future of State Sports Betting Legalization
The landscape of state sports betting legalization in the United States remains dynamic, with each legislative session bringing new developments. States like New York and Wyoming demonstrate the potential for successful legalization through strategic compromises and forward-thinking legislation. However, the experiences of Georgia and Kansas highlight the challenges that can arise, from competing legislative priorities to opposition from various stakeholders.
As more states navigate the complexities of sports betting legalization, the lessons learned from both successes and stumbles will undoubtedly shape future efforts. The evolving regulatory frameworks and economic considerations will continue to influence the debate, as states weigh the benefits of legalization against the need for responsible gaming measures and equitable revenue distribution. In this ongoing narrative, the ultimate winners will be those who can strike a balance that serves the interests of all stakeholders—states, operators, and consumers alike.